Merged firm delivers on strategy
HSF Kramer has posted robust first-year results following its high-profile merger, reporting global revenue of $2.4 billion (£1.8 billion) for the financial year ending 30 April 2026.
The figures cover a full 12 months of legacy Herbert Smith Freehills performance alongside 11 months of legacy Kramer Levin, following the combination going live in June 2025.
The results are confirmation of the HSF-Kramer strategy as the merged firms deliver on revenue synergies and their cross-border capability while maintaining solid profitability, a key factor as other law firms evaluate similar transatlantic moves.
Key Financial Highlights
- Revenue: $2.4 billion (£1.8 billion)
- Profit: $850.8 million (£633.9 million)
- Profit per Equity Partner (PEP): $2.1 million (£1.5 million) — representing a 7% increase on Herbert Smith Freehills’ pre-merger PEP of £1.4 million
The merged firm’s PEP lands between the pre-merger figures of its two legacy practices. It shows healthy growth from the larger UK/Australia-based partner but sits below Kramer Levin’s prior $2.4 million PEP (noting Kramer Levin was the significantly smaller firm).
CEO Justin D’Agostino: “We’ve Entered a New League”
Global CEO Justin D’Agostino (pictured) expressed strong satisfaction with the results, noting the firm exceeded internal FY26 targets.
“We were always confident that the combination of Herbert Smith Freehills and Kramer Levin was a strong fit, but the success of the integration has exceeded those expectations. We surpassed our FY26 financial goals, achieving synergy revenues that were more than double the target set at the time of the combination.”
D’Agostino highlighted revenue growth across all regions, with double-digit increases in Asia and EMEA, and another strong performance in the UK. He credited the firm’s enhanced transatlantic and transpacific platform for propelling it into a new competitive tier.
Growth Through Talent and Strategic Hires
HSF Kramer added 51 new partners globally during the year, including 15 in the US. This growth came via lateral hires and a major 25-partner internal promotion round.
Notable lateral moves included:
- Corporate partner Burr Eckstut (from White & Case) to head the US technology transactions practice in New York.
- A trio of M&A partners from Paul Hastings, also joining in New York.
Forward Strategy and Focus Areas
The firm has outlined clear priorities for the coming year, including:
- Energy sector expansion
- Private capital, restructuring, and special situations
- Strong focus on global funds, pension capital, and infrastructure investors
US-specific ambitions include strengthening energy and infrastructure in Texas, bolstering litigation and appellate capabilities in Washington DC, and expanding transactional tech capabilities in Silicon Valley.
Innovation and Major Deal Highlights
On the technology front, HSF Kramer launched Legora firmwide and appointed Ilona Logvinova as its first Global Chief AI Officer in October.
The firm advised on 240 M&A deals globally worth $130 billion, including major mandates such as:
- Advising Sky and Comcast on the £1.6 billion acquisition of ITV’s media and entertainment business.
- Assisting Engie on its £10.5 billion acquisition of UK Power Networks.
In disputes, the firm secured notable wins, including representation of Société Générale against EuroChem Group and a $1 billion victory for AerCap in the UK High Court (part of broader Russia-related aircraft settlements).
